excess money in current account

jamels2

hi all I am building up quite a bit of money in my current account its a nationwide flex.
when I went into the bank the cashier said I should have another account like savings to protect the money from being so accessible.
i have over 10k in there, would i be best setting up a nationwide flex online saver? it says its 0.50 % and instant access.
i'm not that concerned about interest as they are all low in relative terms and i like to keep things simple so happy to stay with nationwide.
thanks for any advice

badger09

jamels2 wrote: »

hi all I am building up quite a bit of money in my current account its a nationwide flex.
when I went into the bank the cashier said I should have another account like savings to protect the money from being so accessible.
i have over 10k in there, would i be best setting up a nationwide flex online saver? it says its 0.50 % and instant access.
i'm not that concerned about interest as they are all low in relative terms and i like to keep things simple so happy to stay with nationwide.
thanks for any advice

Is your current account the Flexdirect? If not, unless you have already had the 1 year @ 5%, start there.

Have you got a Flexclusive Regular Saver with Nationwide? If not, that's another to consider. 5% interest on £250 per month.


You say you like to keep things simple and are happy to stay with Nationwide. Regular posters on here would advise against having all your eggs in one basket, as it were.

What if Nationwide suffered the same system problems that TSB had/still has and you were unable to access any of your money?

Have a look here, and think about opening another current account. You could be earning 3%:)

https://www.moneysavingexpert.com/banking/compare-best-bank-accounts/

Alexland

Is this accumulation likely to continue and if so what are your objectives with this money - do you intend to buy a first property, save for retirement, invest for children, etc?

Alex

alanq

How long have you been a Nationwide member? If > 1 year a Loyalty Saver offers 0.70%-1.00% depending on the length of membership. Pretty poor but better than the Flex Online Saver.

jamels2

Hi thanks for replies. It is likely to be put into property eventually I just need it to be in a safer place for a whilem

george4064

jamels2 wrote: »

Hi thanks for replies. It is likely to be put into property eventually I just need it to be in a safer place for a whilem

Are you a first time buyer?

If yes, you should definitely check out opening either a LISA or a Help-to-Buy (HtB) ISA.

jamels2

No unfortunately not a first time buyer. I would over pay my mortgage possibly but I've already done the 10 per cent a year allowance.

Riff_Raff

Your current account is vulnerable to your debit card falling into the wrong hands. That's the main reason I wouldn't keep more in there than I need for too long. If I was you and couldn't be bothered to get good interest rates, I would at least just bung the bulk of it into an easy access savings account.

Terry_Towelling

jamels2 wrote: »

hi all I am building up quite a bit of money in my current account its a nationwide flex.
when I went into the bank the cashier said I should have another account like savings to protect the money from being so accessible.
i have over 10k in there, would i be best setting up a nationwide flex online saver? it says its 0.50 % and instant access.
i'm not that concerned about interest as they are all low in relative terms and i like to keep things simple so happy to stay with nationwide.
thanks for any advice

You say you want to keep things simple, that you are not that concerned about interest, happy to stay with Nationwide and just want the cash to be safe. Leaving it exactly where it is fits all of those. Has the cashier made you think the money is not safe because it is so accessible? All sounds a bit odd.

Contributors to this forum will do their best to suggest ways of maximising your return but it doesn't look like you actually want that.

enthusiasticsaver

I understand you wanting to keep things simple and low returns unfortunately at the moment does make it difficult to make a case for moving money for more interest. Having your eggs all in one basket though does mean if there is a bank failure like nat west and tsb have had in recent years you are left with no way of accessing cash. Your choice though and I see no reason why the cashier should be talking about making your money less accessible.